National Express rebuked in new deal for East Coast mainline

The recent collapse of the East Coast mainline, which has now been taken back under government control, could have been averted if a proposition from National Express had been taken up. With the UK government, and UK taxpayers, set to lose heavily on the deal after the East Coast mainline franchise was withdrawn from National Express it is now believed that the company had stepped forward with an alternative proposal which would reduce taxpayer losses by £70 million.

It seems as though the company is concerned about its other two profitable rail franchises and the possibility that the UK government will take legal action to take his back in-house as well. Currently lawyers from National Express and the government are checking the small print of the franchise agreements which had been expected to run until 2015. It'll be interesting to see how National Express is penalised with regards to the two other profitable franchises as this could impact upon the actions of other franchise owners in these difficult times.

When the UK rail network was privatised some time ago there was significant union anger against the move, something which has been borne out over the last few days. Are we set to see a significant chunk of the UK rail network nationalised?

FINANCIALADVICE.CO.UK IS OWNED BY THE SHEPHERDS FRIENDLY SOCIETY LIMITED WHICH IS AN INCORPORATED FRIENDLY SOCIETY UNDER THE 1992 FRIENDLY SOCIETIES ACT NO. 240F.
AUTHORISED BY THE PRUDENTIAL REGULATION AUTHORITY AND REGULATED BY THE FINANCIAL CONDUCT AUTHORITY AND THE PRUDENTIAL REGULATION AUTHORITY AND ENTERED ON THE
FINANCIAL SERVICES REGISTER, NO: 109997.

SHEPHERDS MUTUAL SOLUTIONS IS A TRADING NAME OF FINANCIAL ADVICE NETWORK LIMITED WHICH IS AUTHORISED AND REGULATED BY THE FINANCIAL CONDUCT AUTHORITY AND
ENTERED ON THE FINANCIAL SERVICES REGISTER.NO 430769.